Richmond-Virginia based Circuit City Stores filed for bankruptcy
protection today, but the company says it plans to stay open for
business as the holiday shopping season approaches. Circuit City filed under Chapter 11 of the bankruptcy code. That will allow it to hold off creditors and continue operations while it develops a analyst Christopher Horvers says Circuit City can remain reorganization plan. Circuit City also says it plans to cut 700 more jobs. The cuts follow last week’s annoucement that the company would close 20 percent of its stores and lay off thousands of workers. Circuit City has been struggling as consumers spend less and credit has become tighter. J P Morgan competitive if it can get inventory into stores for the
holiday shopping season.